[chassis]

I think it's time to buy. I'm nibbling. I'm heavier cash than I need to be, but that's my choice. Cash is a better choice than bonds at this point imo.

Cash is a useful, and underrated imo, position in the portfolio. It is negatively correlated with equities, has zero vol and has the unique characteristic of liquidity.

[vreihen16]

Originally Posted by TSII

Not a tip but Tesla took a beating today. Lost $126 billion in value.

That's almost three Twitters!!!!!

[Beemer2022@outlook.com]

Originally Posted by XKxRome0ox

so i'm a total newbie to investing in stock market individually
(have only had robo-managed accounts before)
i just joined Robinhood and threw a little money in there to test the waters

of course i got in right before the massive dropoff in October .. then everything recovered ... just to take a dump again this week

anyway
i thought it'd be fun to share our favorite stock picks ... act like we can predict the future
and just share experiences and discuss investment strategies


one of my biggest failures as a newbie in the past couple of weeks?
selling CVS stock the day before dividends were paid out
lol
that's how new i am

should have just held onto CVS as it's been gaining steadily while most other stocks are tanking

(if you want a referral link so we can both get a free stock in some company, please message me)

Originally Posted by XKxRome0ox

so i'm a total newbie to investing in stock market individually
(have only had robo-managed accounts before)
i just joined Robinhood and threw a little money in there to test the waters

of course i got in right before the massive dropoff in October .. then everything recovered ... just to take a dump again this week

anyway
i thought it'd be fun to share our favorite stock picks ... act like we can predict the future
and just share experiences and discuss investment strategies


one of my biggest failures as a newbie in the past couple of weeks?
selling CVS stock the day before dividends were paid out
lol
that's how new i am

should have just held onto CVS as it's been gaining steadily while most other stocks are tanking

(if you want a referral link so we can both get a free stock in some company, please message me)

No comment on that

[antzcrashing]

U.S. stocks lost further ground on Friday morning. Meanwhile the dollar continues to strengthen amid economic anxiety, with the dollar index notching a fresh 20-year high on Friday morning."

How can inflation be at 40 year highs and the dollar be simultaneously at 20 year highs?

[JP10]

Originally Posted by antzcrashing

U.S. stocks lost further ground on Friday morning. Meanwhile the dollar continues to strengthen amid economic anxiety, with the dollar index notching a fresh 20-year high on Friday morning."

How can inflation be at 40 year highs and the dollar be simultaneously at 20 year highs?

Thanks, now my brain is so confused that I struggled to type this...

[floridaorange]

I wouldn't go near the market for a while - it's only going to take your money

[XutvJet]

Originally Posted by floridaorange

I wouldn't go near the market for a while - it's only going to take your money

Disagree. It's a good time to get in the market assuming you're doing low risk stuff like S&P 500 index funds and are in it for the long haul.

[floridaorange]

Originally Posted by XutvJet

Disagree. It's a good time to get in the market assuming you're doing low risk stuff like S&P 500 index funds and are in it for the long haul.

Originally Posted by XutvJet

Disagree. It's a good time to get in the market assuming you're doing low risk stuff like S&P 500 index funds and are in it for the long haul.

Well sure - low risk - long haul - s&p, have at it… I'd still wait for prices to come down more though. Just my opinion.

[antzcrashing]

There's a famous investing mantra that goes something like "buy when there is blood in the water" ie everyone is negative. It's difficult to do, because there is typically something real that would tend to convince you to stay away. Right now, pretty much everyone is negative. Of course you have to do what's right for your investment horizon and risk appetite

[Chick Webb]

Originally Posted by antzcrashing

There's a famous investing mantra that goes something like "buy when there is blood in the water" ie everyone is negative.

"When everyone is yelling, you should be selling, and when everyone is crying, you should be buying." For certain. Now, though? Maybe not quite yet. I'm looking for AAPL < $150, SPY < $385 and VIX ~ $40 before I get serious.

[XKxRome0ox]

Originally Posted by antzcrashing

There's a famous investing mantra that goes something like "buy when there is blood in the water" ie everyone is negative. It's difficult to do, because there is typically something real that would tend to convince you to stay away. Right now, pretty much everyone is negative. Of course you have to do what's right for your investment horizon and risk appetite

but what do you do when you are drowning in blood?

damn
just when you think you can't go any lower... the market reminds you who's the boss

[BMW F22]

I bought more VTI and ROKU. Will cost average them for long haul. I’m only putting in cash I can play around with and not dumping a lot into it.

[XKxRome0ox]

Originally Posted by BMW F22

I bought more VTI and ROKU. Will cost average them for long haul. I’m only putting in cash I can play around with and not dumping a lot into it.

what's making you buy ROKU?

[BMW F22]

Originally Posted by XKxRome0ox

what's making you buy ROKU?

They have been solid. Their stock has grown tremendously and over the last few years, it's gone from $30-160 BEFORE covid and cheap money. In the $80's range, I think it's a great buy with opportunity to double. If it dips, I'll buy more and average down.

[R N M]

The big tech stocks are taking huge beating - Amazon and FB down to pre-covid levels doesn’t make much sense……

[antzcrashing]

There's also an expression hat says "don't try to catch a falling knife". (Because you will get cut). But f that expression, it all but guarantees you miss the tail of the upside move.

[BMW F22]

Originally Posted by antzcrashing

There's also an expression hat says "don't try to catch a falling knife". (Because you will get cut). But f that expression, it all but guarantees you miss the tail of the upside move.

I figured if stocks are now half of what they were pre-covid, then why not buy? At some point it will at least go back to that level. Perhaps not the crazy high levels we’ve seen with covid, but they should still go back up. How long it takes is anyone’s guess.

[Chick Webb]

Originally Posted by BMW F22

I figured if stocks are now half of what they were pre-covid, then why not buy?

Because, when companies fess up about the negative effects that the Fed's rate rises are having/will continue to have on their businesses, they might get cut in half again?

Seriously, it's all about price/earnings (P/E) ratios. They've come down quite a bit because prices (the numerator in that ratio) have dropped. But they are still pretty high by historical standards (aka "the mean"). P/E's will jump back up if earnings (the denominator) decrease, which is likely. That will drive stock prices down again in order to bring the P/E ratio back to the mean. Downward earnings revisions are coming, so more pain is likely ahead.

Originally Posted by BMW F22

At some point it will at least go back to that level. Perhaps not the crazy high levels we’ve seen with covid, but they should still go back up. How long it takes is anyone’s guess.

If you're speaking of quality companies that have "real" businesses, likely that's true. Remember, though, if a stock drops by 50%, it has to rise by 100% to get back to even. And, how long will that take and with your money tied up waiting to get back to even, what opportunity cost does that have? Could you have been making gains somewhere else while those stocks spend months/years treading water?

As they say, "thar be dragons". Be careful out there.

[UncleWede]

Does this mean my savings and CDs are going to cross over the 1% boundary soon??

[e90335e36m3]

Originally Posted by R N M

The big tech stocks are taking huge beating - Amazon and FB down to pre-covid levels doesn’t make much sense……

Makes sense to me. Since 2018 AAPL and AMZN among others went parabolic. Look at where they are trading relative to 2018, the current drop is barely noticeable. And what's so innovative that either company produced since 18? Can't think of anything. Not saying either company will drop more, but they should.

On a separate note, PTON is like crossfit, it was cool for a year, did anyone really expect this fad to last in perpetuity? A spinning bike? Nah.

[Tyga11]

Another bloodbath today. I'm down almost 30% YTD. Not sure what I'm going to do but this absolutely sucks and I'm evaporating money

[chassis]

Cash is a good thing today, and every day. When the market turns it will be time to buy.

The more uncomfortable things get, the closer it is time to buy.